Jim O Solfato: Pilar Olivares / Reuters
From a trade confrontation between the US and China affected the entire world. Such opinion in interview to Agency Bloomberg was expressed by the former chief economist of the American investment Bank Goldman Sachs and Creator of the term BRICS, Jim O’neill.
“I don’t understand how someone can emerge from this situation a winner. The economy can be criticized for many things, but its essence in an international sense is reduced to the situations “win-win” (when most parties benefit — approx. “Of the tape.ru”), and the less you trade, the more General losses”, — he told Agency.
According to O’neill, the US and China account for about 85 percent of total nominal GDP in the world over the last 10 years, so a trade war between them would lead to negative consequences for all in the world. Nevertheless, he recognizes that some countries, such as India, may suffer less.
However, the economist is convinced that even a momentary resolution of all trade problems will not save the country from the mutual claims in the future. “I think in the future there will be a new escalation,” concluded O’neill.
A new round of trade confrontation between the United States and China had a very negative impact on international markets of the capital, just a day only the us stock market lost about one trillion dollars. However, in the next few days of trading, the market began to recover.
The American administration continues to insist that China is an unfair trading game, in particular, stealing modern development from American companies illegally using them to develop their own, moreover, the United States insists that China is manipulating its own currency to make products more competitive. The Chinese side was ready to make concessions and to abandon the confrontation, but China’s position did not suit Washington, which recently introduced a new round of protectionist duties on goods with a total value of $ 200 billion.
Video, photo All from Russia.